HOA Fees seem high in Palm Beach County (Boca Raton, Country Club: insurance, condos)

[frisco19542]

I am thinking about moving to Palm Beach County one of the things that sticks out is a lot homes seem to have very high HOA fee's.

when a HOA fee is over $500 a month it seems like it extremely high and usually a sign there gouging you on fees. I can understand if they include a lot things but what I am seeing is they just include a security guard and common areas and perhaps cable and lawn service. Even with all that it hard to see paying more then $200 a month.

I am also seeing mandatory Country Clubs in some of these communities. Florida is great for golf and tennis so I could see myself liking living in those communities. What I am not sure with these is the HOA fees on top of the country club fee's. It seems to me a lot these places have low property values because of the HOA. One of things I am confused is if the Hoa included the country club fee then it would be perhaps a good deal to buy in those neighborhood.

It would seem to me that once you add in country club fee's plus HOA fees, plus insurance in some area this basically makes the house unsellable and almost worthless. I know the initiation fees are high but if the house is cheaper I can come up with that.

Also is there any areas in Palm Beach county that is nice without HOA's or have Reasonable HOA fees? So far I am only seeing areas in Broward County that are reasonable.

[QuilterChick]

^^^ Glad you brought this up, I'm wondering the same myself. Much higher than the Gulf Coast.

[BVG_Steve]

#1 is the HOA fees are not that high in the vast majority of communities. Sounds to me you are looking at equity based country club communities and yes those communities with have very high HOA fees, and yes the country club fees are on top of the high hoa fees.

and yes the property value are low in most of those communities and sometimes 50% cheaper than buying in a non country club community. Most of the country club communities are very nice, but the buyers are rejecting them especially on re-sales and also it is rare you see any new ones because demand is not there

this site lists some examples of fees

Country Club Cost Comparison | Buyer Resources | Jeff Lichtenstein

you can be paying the monthly HOA, gold membership equity of $40,000 to $100,000 and annual dues for country club from $12,000 to $20,000

Now you may understand why the homes are being sold for pennies on the dollar on re-sale in a lot of these communities, as nobody wants to be stuck with the high fees.

Now on the positive side, as a buyer you could buy homes 50% plus cheaper than they would sell for in same area outside of the country club community. Think timeshare here, once you buy the home you lose 50% plus on your money. at least for buyers who bought when new. Also a very tough re-sale and lots of inventory sitting in most of these communities

[frisco19542]

i a! notici g that hoa's are all over $100 a month currently live in texas most hoa fees are maybe 500 a year if the cut your lawn there only $150 a month.


the country clubs hoa would be a good deal if they were $1000 a month and included the Hoa but it also seem to be overpriced for what you get.
the prices in some of them are still overpriced.Even if you pay cash it seems that between taxes and club fees and HOA your at 35 to 40 grand a year. i can the same thing for half the price elsewhere and have a house that goes up too.



it seems that boca raton has the worst of both. noticed other area in palm beach county are better. I am wondering if there is too many retired people in those Hoa who have pensions. the also must be people who complain about every little thing because they have too much time on there hands. it either that or they missmange the funds a lot.

it seems like non HoA may make more sense long term though in the long run.

[BVG_Steve]

You are confusing HOA communities with country club communities. As stated there are HOA communities with club houses, and some amenities which HOA fees cost $150 to$250 per month and these are viable communities and have appreciated nicely and have a huge demand as people like gated communities

[frisco19542]

Originally Posted by BVG_Steve

You are confusing HOA communities with country club communities. As stated there are HOA communities with club houses, and some amenities which HOA fees cost $150 to$250 per month and these are viable communities and have appreciated nicely and have a huge demand as people like gated communities

No I am not I think $150 - $250 a month is High for an HOA even with a security gate. Should be no more then $100 a month. Most HOA fees in other parts of the county run you $300-$500 a Year. I am not sure why they are this high?

A lot this depends on what you get. Having Alarm, Cable included is a huge negative to me. Even if lawn mowing is included it should be cheaper otherwise what is the point? So far I haven't seen anything that is a great deal and the HOA is Deal breaker.

[BVG_Steve]

Originally Posted by frisco19542

No I am not I think $150 - $250 a month is High for an HOA even with a security gate. Should be no more then $100 a month. Most HOA fees in other parts of the county run you $300-$500 a Year. I am not sure why they are this high?

A lot this depends on what you get. Having Alarm, Cable included is a huge negative to me. Even if lawn mowing is included it should be cheaper otherwise what is the point? So far I haven't seen anything that is a great deal and the HOA is Deal breaker.

then obviously an HOA community is not for you.

I pay around $250 per month

includes gated community with 24/7 guard
includes cable TV and internet (easily $100 value)
we have clubhouse, tennis courts, community pool etc.
We have tons of open area, walking paths, lots and lots of expensive landscaping to make it a beutiful looking community which adds value to the home. The $250 a month is not expensive and someone has to pay for this stuff, it is not free.

Now there is hoa communities of $100 or less a month that include basically nothing, no gate, no security, no clubhouse, no community pool, no open areas, no parks, no walking paths etc.

you get what you pay for. You want the mercedes benz at kia prices wont happen

you can easily ask the hoa to see the books or ask for a P&L and you can see where the monies go. I own homes in 5 hoa communities here and not 1 of them are mis-managed and the board of all of them does a good job in spending.

You are coming up with a number out of this air and not looking at reality.

[City Guy997S]

This will really blow the OP's mind:

Condos in Boca West for less than a 10 year old Camry!
19757 Boca West Dr Unit 4114, Boca Raton, FL 33434 - realtor.com®

1946 Bridgewood Dr, Boca Raton, FL 33434 - realtor.com®

The catch.....club dues are 70K to join then 10-20K a year forever and that excludes the actual HOA fees.

Steve has some valid points but the HOA costs can easily outweigh the benefits to the point it actually hurts resale values. Evergreene in Palm Beach Gardens has an issue with this equation.

[City Guy997S]

Originally Posted by frisco19542

No I am not I think $150 - $250 a month is High for an HOA even with a security gate. Should be no more then $100 a month. Most HOA fees in other parts of the county run you $300-$500 a Year. I am not sure why they are this high?

A lot this depends on what you get. Having Alarm, Cable included is a huge negative to me. Even if lawn mowing is included it should be cheaper otherwise what is the point? So far I haven't seen anything that is a great deal and the HOA is Deal breaker.

Figure the guard is paid $10 an hour, figure the guard company bills @ $20 an hour (covers $10 cost, plus taxes/uniform/payroll expenses/insurance etc). Every day that guard shack is costing the HOA $480 (24 X $20 hr). Plus supervisor, any overtime it could accrue etc. So a single guard costs the HOA over $175,000 a year! Hire roving patrol, more than one guard or arm them then you could see how the HOA budget explodes. Once you meet a guard in person you quickly realize that it is an expensive exercise that gives the "illusion of security."

I am in gated communities all the time......you would be stunned how many just push the button and open the gate for you! I was in one 2 weeks ago and actually followed a resident through the gate (not realizing the gatehouse was occupied and I should have stopped)......guard waved to me!

[BVG_Steve]

Originally Posted by City Guy997S

Steve has some valid points but the HOA costs can easily outweigh the benefits to the point it actually hurts resale values. Evergreene in Palm Beach Gardens has an issue with this equation.

For sure not all HOA communities are cut from the same mold. There is good and there is bad. Some add to re-sale value and some will take away from re-sale value.

But a general statement to stay away from HOA communities because non hoa communities make more sense in the long run is not true. See how quickly value decline when neighbors are not up keeping properties and neighborhood looks like crap because homes are in need of repair, painting, cleaning etc.

A well run HOA community will thrive